Power Contract with Honey Lake Power (PG&E)
LMUD "renews" (?) power purchase agreement with Plumas Sierra Rural Electric at the LMUD meeting on January 7, 2003. The document submitted to the public indicates that the current PSREC power purchase agreement on 12/31/03. The extension would carry the contract from 12/31/03 to 7/31/04 and evidently maintaining the $53.00 MW cost.
LMUD SIGNS NEW POWER CONTRACT
The LMUD Board gives management raises from 20% to 75% and then signs a power contract with Coral Energy for only 6 MWH. LMUD needs 22-25 MHW?
LMUD's current contract ends on June 30, 2003. This current contract is for:
LMUD will expect the ratepayers to pay for these obscene pay raises and higher rates. The new contract is from July 1, 2003-December 31, 2004.
Special LMUD meeting, June 26, 2003
Agenda Item 5 (b): Power Purchase Agreements.
Ms. Twitchell prepared the power purchase agreement on the LMUD conference board.
6 MW Coral Power @$65.85 per MW expires 12/31/04
10 MW WAPA -temporary power @45.65 expires 12/31/04
Ms. Twitchell told the Board that this power can be resold, but did not offer the fact that this 10MW of WAPA power can only be resold to WAPA customers. Only 13 of WAPA customers signed up for a program that allows power to be sold back and forth thru WAPA customers. There is a substantial "surcharge" to do this. LMUD has only 6 months to keep this power or to sell it within WAPA, if 10MW can be purchased cheaper. LMUD's power load runs about 21 MW. This represents half of LMUD's needs.
3 MW- LMUD's allocation portion of WAPA power @24.63
2 MW- Plumas REC (until Sierra Army Depot load transferred) @53.00
Mr. Langston stated that there will be no increase or decrease in rates to the LMUD customers.
Agenda Item 5 (c): Ratification of Job Descriptions and Compensation Program, Resolution 2003-04
The LMUD Board, at the June 5, 2003 meeting passed a MOTION to change the job titles and compensation for LMUD NON BARGAINING UNIT EMPLOYEES.
Frank Cady knew this action needed a Resolution, but did not present a Resolution at the June 5, 2003 meeting. Mr. Cady does not seem to earn his $30,000 a month......
KWH asked the Board why Mr. Cady is so inconsistent with his legal advice. The Arrowrock Power Purchase-Sales Agreement was presented (April 25, 2001) to the LMUD Board without a Resolution and the Enron Power Purchase-Sales Agreement (May 9, 2001) was
presented to the LMUD Board with a Resolution. Mr. Cady responded with an "unintelligible response".
LMUD minutes, November
"Jim Forbes expressed his concerns with the financial stability of ENRON, and would like to see the Board purchase non-performance insurance in case ENRON fails to perform under the power contract. He cited further concerns that ENRON could be facing bankruptcy."
W A L L S T R E E T J O U R N A L- Rebecca Smith
"Federal prosecutors charged former Enron Corp. energy trader John M. Forney with criminal conspiracy and wire fraud, making him the third former Enron trader to be accused of manipulating prices during California's energy crisis in 2000 and 2001".
"Earlier charges named Timothy Belden, the head of Enron's energy-trading desk in Portland, Oregon."
"Belden and Richter, both of whom previously pleaded guilty to criminal conspiracy charges"